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Oil and Natural Gas Supply

Oil and natural gas are the lifeblood of our economy, accounting for more than 60 percent of the energy consumed in the United States. To meet projected
demand, our Nation has a vital interest in ensuring that competitively-priced domestic natural gas and oil remain part of the U.S. energy portfolio for decades to come. Read More.

Announcements

Nine Unconventional Natural Gas Projects Address Water Resource and Management Issues The National Energy Technology Laboratory (NETL) has selected nine new projects targeting environmental tools and technology for shale gas and coalbed methane (CBM) production. NETL’s goals for these projects are to improve management of water resources, water usage, and water disposal, and to support science that will aid the regulatory and permitting processes required for shale gas development.

DOE/NETL-Sponsored Project Pushes the Limits of Seismic-While-Drilling Technology In a project sponsored by DOE/NETL, Technology International Inc. has developed a breakthrough borehole imaging system that stands on the cusp of commercialization. By pushing the limits of seismic-while-drilling technology, the patent-pending SeismicPULSER system provides more accurate geo-steering for the discovery of new oil and natural gas reserves.

DOE Selects Recipient to Transfer Oil and Natural Gas Innovations The Department of Energy (DOE) has awarded to the Petroleum Technology Transfer Council (PTTC) funding of up to $4 million to disseminate the newest, most energy-efficient and cost-effective innovations, ideas, tools, and knowledge developed in the realm of oil and natural gas by researchers at DOE’s National Energy Technology Laboratory (NETL) and other organizations.

DOE/NETL-Sponsored Software Application Assists Exploration of Gas-Rich Fayetteville Shale A project sponsored by the U.S. Department of Energy has resulted in the development of the Fayetteville Shale Infrastructure Placement Analysis System [external IPAS website], or IPAS, which is now available online. Read more on this project.

DOE/NETL Showcases Websites for Tight Gas Resource Development Two DOE projects funded by the National Energy Technology Laboratory provide quick and easy web-based access to sought after information on tight-gas sandstone plays. Operators can use the data on the websites to expand natural gas recovery in the San Juan Basin of New Mexico and the central Appalachian Basin of West Virginia and Pennsylvania.
San Juan Basin Website    Appalachian Basin Website

DOE Leads National Research Program in Gas Hydrates Dr. Ray Boswell, Senior Management and Technology Advisor at the National Energy Technology Laboratory, testified before the House Natural Resources Subcommittee on Energy and Mineral Resources that the R&D program in gas hydrates is working to integrate and leverage efforts throughout the United States and internationally to enable gas hydrates to become a viable option for meeting future energy demands. Read Dr. Boswell's testimony

The Summer 2009 Edition of the E&P Focus Newsletter Is Now Available [PDF] E&P Focus is a quarterly NETL publication highlighting the latest developments in oil and natural gas R&D being carried out by the Department of Energy. E&P Focus promotes the widespread dissemination of research results among all types of oil and gas industry stakeholders: producers, researchers, educators, regulators, and policymakers. Read more on E&P Focus including subscription information and past editions

Announcements Archive >


While domestic resources remain plentiful, increasingly, these resources are concentrated in geologically challenging and operationally complex settings such as deep formations, deepwater offshore, and lower permeability formations. Their recovery requires innovative exploration and production technologies, along with sustained attention to environmental protection.

Through NETL, scientists and engineers in government and industry are focusing on innovative solutions to these challenges. NETL supports research, development, and field demonstrations of advanced technologies to enhance near-term and mid-term supplies through the efficient use of the nation's existing resources. NETL also performs analyses of natural gas and petroleum issues to support policy decisions and to ensure a balanced R&D portfolio.

  • To help industry increase supplies of oil and gas in the near term, NETL focuses on developing low-cost technologies to expand the economic life expectancy of individual wells, spurring innovations to find and tap missed or bypassed reservoirs in the field, and transferring new technology to the thousands of small and independent operators that account for the lion’s share of the U.S. industry.
  • Over the mid term, NETL’s E&P efforts target critical emerging resources -- such as tight gas, deep gas, and heavy oil -- that are currently poorly understood and underutilized. These unconventional and emerging resources require the application of new technologies to make recovery economic. Such efforts have borne fruit in the past. Earlier DOE-funded research has catalyzed an unconventional natural gas industry that currently accounts for 30 percent of the Nation’s gas supply—a share expected to grow.
  • Sustaining natural gas and oil supplies over the long term will require adding fundamental new sources to the nation's resource base. As a result, NETL is leading a national R&D effort to evaluate methane hydrates and other potential future resources that may one day contribute to our nation’s supply demands.

Meeting National Goals
NETL’s RD&D efforts contribute to the following vital national goals:
  • Secure and reliable energy supplies
    The United States is home to an abundant supply of both natural gas and oil, yet there exists a supply and demand gap because much of the conventional resource base has been harvested. Future sources of supply will come from more remote locations, increasingly complex and deeper reservoirs, and more environmentally sensitive areas. New technologies will certainly be needed to develop these resources in an environmentally and economically acceptable manner. With advanced technologies, our Nation can continue producing these valuable domestic resources while also meeting environmental protection goals.
     
      Conventional / Unconventional Gas
     
    America's demand for natural gas is expected to grow as much as 50% by 2025. Unconventional gas resources, much of which currently are not economically recoverable, are expected to bear much of the burden of meeting this demand.
       
  • Clean power generation
    The clean-burning properties of natural gas make it a preferred fuel for power generation. Indeed, natural gas consumption in the power generation sector is projected to increase from 5.0 trillion cubic feet in 2003 to 9.4 trillion cubic feet in 2025. Cost-effective production, processing, transmission, and storage technologies will enable natural gas to fulfill this central role in meeting our Nation’s growing electricity needs.